Like it or not, the days when maybe it was okay to be slightly irresponsible with your money are over. You may have worked a job or two, but now you’re moving into the career years ahead. As you nail down a stable job with a stable income, it’s time to start managing your money so that money doesn’t manage you for the rest of your life. With these simple tips, we’ll point you in the right direction.

Debt

It's time to deleverage. The best way to increase your cash flow is to decrease money going to unnecessary interest charges. Focus on paying off all debt that isn’t tied to a mortgage. Concentrate on the loans with the highest interest rates first, likely those carried by credit cards, then focus on car loans, student loans, and any other non-mortgage related debt. Caution: moving debt between credit cards and other loan types is not deleveraging.

Kick the habit of assuming debt to make purchases. Save money for big purchases so you don’t have to finance these items using credit. That being said, if you get 0% financing for a period of time, don’t hesitate to use this money for free, but be sure the debt is paid in full before the period expires to avoid huge interest charges.

Family

Marriage is the most important event in a person’s life in many ways. When you marry your life to someone, you also marry your finances. This is a great opportunity to meet with a Financial Consultant to consider everything in your financial portfolio from investments to insurance and retirement planning.

If you’re planning to have children, this is also a great time to meet with a Financial Consultant. You’ll want to consider setting up a college savings plan to help cover the cost of education. While nobody likes to think about life insurance, this is a great time to make sure your family is covered in the event that the unthinkable should occur.

Savings

Start building an emergency savings account. It is suggested that you should have at least three months of salary in savings. With this emergency savings account, it will be easier to weather the storm if hard times or unexpected expenses occur.

While it might be hard to consider retirement when you’re in your 30s, there’s no better time than now to start socking away money for life after work. The power of compounding interest really adds up when time is on your side. Consider increasing the percentage of income going towards retirement savings by 1% every year when in your 30s. Use a retirement calculator to get an idea of what it takes to save for your retirement years so you can live comfortably and enjoy the fruit of your laboring years.

In short, when you’re in your 30s, it’s time to make your money work for you so you are starting your adult life with a solid financial footing. By paying off debt, creating a savings plan and addressing insurance and investment options, you’ll be well on the way to enjoying your adult life with responsible financial habits.

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